Case Study: Construction Financing for Owner-Occupied Home in Saint John, NB
At Keystone MIC, we take pride in helping homeowners and real estate investors move their projects forward—quickly and with flexibility. Our latest funded deal in Saint John, New Brunswick is a great example of how private lending can provide essential support during a construction project.
The Situation
The borrower was in the midst of a self-build single-family detached home when their broker approached us. The build was already 40% complete, with solid progress made using the client's own funds. However, like many self-funded construction projects, cash flow became tight midway through the process.
The client needed financing to:
Pay off debts accumulated during the early stages of construction
Fund the remaining build to completion
Importantly, the property was owned free and clear (ie. No other mortgage on the property), providing excellent security for the loan.
The Borrower
The broker presented a well-qualified primary applicant who:
Is employed in the skilled trades with strong, stable income and over 8 years in their role
Is currently on parental leave, with a confirmed return-to-work plan
Has access to over $300,000 in liquid investments, providing additional payment security
Demonstrates strong credit with a score in the 800s
Receives steady monthly government income, contributing to cash flow stability
While the secondary applicant has thinner credit and no active income, their repayment history is solid, with a credit score in the 700s.
Our Solution
We provided a construction loan secured in first position against the property. The loan was structured to allow the client to:
Pay off existing debts related to the build
Access the funds necessary to complete construction
Maintain flexibility while on temporary leave from work
The strength of the security, the borrower’s overall financial profile, and the presence of liquid assets gave Keystone full confidence to approve the file.
The Exit Strategy
Once the home is complete, the client plans to refinance with an A-lender and exit the private mortgage within six months. With the quality of the property, strong income profile, and credit history, the refinance path is clear.
Why It Matters
This deal highlights why private construction financing can be the right solution when traditional lenders aren’t able to step in mid-project. At Keystone, we assess the full picture—security, borrower profile, and a clear exit—to create fast, reliable lending solutions that work for both brokers and clients.
Want to discuss a construction deal?
Reach out to our team—we’re happy to help.
